Enterprise Financial Services Corporation (EFSC) vs 1st Source Corporation (SRCE)

Enterprise Financial Services Corporation and 1st Source Corporation are both Banks Regional companies. Enterprise Financial Services Corporation and 1st Source Corporation are of similar size ($2.2B and $2.1B). Enterprise Financial Services Corporation trades at the lower P/E: 12.0× against 12.4×. Enterprise Financial Services Corporation grew revenue faster over the last twelve months: 7.96% against 4.21%. 1st Source Corporation has the higher net margin (27.8% vs 18.3%) and the higher return on invested capital (10.5% vs 7.88%). Both pay a dividend; 1st Source Corporation yields more (2.70% vs 2.63%). Across the 20 metrics below, 1st Source Corporation leads on 11 and Enterprise Financial Services Corporation on 9.

Valuation

Metric EFSC SRCE Banks Regional median
P/E 12.02 12.37 12.15
P/S 2.18 3.41 2.37
P/B 1.13 1.53 1.21
Price to free cash flow 10.45 9.61 10.80
EV/EBITDA n/m n/m —
EV/Sales 2.31 3.35 2.27
Earnings yield 8.32% 8.08% 8.11%
Free cash flow yield 9.57% 10.41% 8.98%

Profitability

Metric EFSC SRCE Banks Regional median
Gross margin 75.39% 74.40% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 18.31% 27.81% 18.66%
Free cash flow margin 20.85% 35.44% 21.18%
Return on equity 9.77% 12.97% 10.64%
Return on assets 1.11% 1.84% 1.13%
Return on invested capital 7.88% 10.48% 8.33%

Growth

Metric EFSC SRCE Banks Regional median
Revenue growth (TTM) 7.96% 4.21% 6.61%
EPS growth (last fiscal year) 9.94% 19.59% —
Revenue growth, 5-year CAGR 22.76% 10.34% 12.30%
Net income growth, 5-year CAGR 21.58% 14.16% 9.71%

Health

Metric EFSC SRCE Banks Regional median
Debt to equity 0.33 0.07 0.22
Current ratio 0.85 0.97 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric EFSC SRCE Banks Regional median
Dividend yield 2.63% 2.70% 3.75%
Payout ratio 0.17 0.25 0.27

Size

Metric EFSC SRCE Banks Regional median
Market cap 2.20b 2.06b 921.07m

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